UPDATE 1-A.P. Pharma posts wider Q3 loss, cuts jobs

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Nov 5 (Reuters) - Specialty pharmaceutical company A.P. Pharma Inc (APPA.O) posted a bigger quarterly loss on higher expenses, and said it cut 35 percent jobs and would keep several early-stage development programs on hold, to save cost and focus on its main drug candidate.

The company expects to record a related charge of about $300,000, which will be recorded in the fourth quarter. The cost savings resulting from the job cuts and pipeline deferrals will allow the company to continue development of its lead product, APF530, into the third quarter of 2009.

A.P. Pharma also reported additional data from a late-stage trial of APF530, which is being developed for the treatment of chemotherapy induced nausea and vomiting (CINV).

The company plans to submit a new drug application to the U.S. health regulators in December and is looking for a partner for the drug. "In light of the current economic uncertainties and volatile capital markets, we are taking these timely and meaningful actions to ensure the company's ongoing viability," Chief Executive Ronald Prentki said in a statement. Shares of the company closed at 50 cents Tuesday on Nasdaq.

For the press release, please click [ID:nBw055404a] . For the alerts, please click [ID:nWNAB7898] (Reporting by Esha Dey in Bangalore; Editing by Jarshad Kakkrakndy)